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CCIM 101 Financial Analysis Exam 2026 | Actual Verified
Questions with Correct Solutions | Value Pack
What's the biggest difference between cap rate and yield? - c0rrect answer
- Cap rate d0es n0t fact0r in eventual sale pr0ceeds - yield d0es. If there is a
pr0fit 0n the sale then yield will be higher than cap rate.
Cap rate + gr0wth = [XXXX]? - c0rrect answer - Yield
True 0f false: Leasing c0mmissi0ns are included in 0perating Expense? -
c0rrect answer - False - they are included in Cash Fl0w Bef0re Taxes.
What is Net Present Value? - c0rrect answer - NPV is the difference
between the present value 0f cash infl0ws and the present value 0f cash
0utfl0ws 0ver time.
True 0f false: F0r c0mmercial and investment pr0perties, l0an c0sts paid at
time peri0d zer0 are deducted in full in the year they are paid. - c0rrect
answer - False - they are am0rtized 0ver the full term 0f the l0an. Any
unam0rtized c0sts are expenses in the year the l0an is paid 0ff.
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A REIT must distribute what percent 0f its taxable inc0me t0 st0ckh0lders
every year? - c0rrect answer - 90%
True 0r False: a REIT is subject t0 c0rp0rate-level tax 0n the taxable inc0me
it distributes t0 st0ckh0lders. - c0rrect answer - False. A REIT must pay 0ut
at least 90% 0f its taxable inc0me as dividends. Since th0se dividends are
actually the taxable p0rti0n 0f the inc0me generated by the REIT-0wned
pr0perties, the c0mpany is able t0 pass its tax burden t0 shareh0lders
rather than pay Federal taxes itself.
What is Secti0n 1231 pr0perty? - c0rrect answer - Secti0n 1231 pr0perty is
real 0r depreciable business pr0perty (such as a c0mmercial building) held
f0r m0re than 0ne year.
A secti0n 1231 gain fr0m the sale 0f a pr0perty is taxed at the l0wer capital
gains tax rate versus the rate f0r 0rdinary inc0me. If the s0ld pr0perty was
held f0r less than 0ne year, the 1231 gain d0es n0t apply.
The basis f0r a pr0perty that is purchased equals the purchase price plus
what? - c0rrect answer - Plus any capitalized acquisiti0n c0sts (n0t
financing c0sts.)
What are the f0ur basic c0mp0nents 0f N0I? - c0rrect answer - 1 - P0tential
rental inc0me (PRI)
2 - Vacancy and credit l0sses
3 - 0ther inc0me
CCIM 101 Financial Analysis Exam 2026 | Actual Verified
Questions with Correct Solutions | Value Pack
What's the biggest difference between cap rate and yield? - c0rrect answer
- Cap rate d0es n0t fact0r in eventual sale pr0ceeds - yield d0es. If there is a
pr0fit 0n the sale then yield will be higher than cap rate.
Cap rate + gr0wth = [XXXX]? - c0rrect answer - Yield
True 0f false: Leasing c0mmissi0ns are included in 0perating Expense? -
c0rrect answer - False - they are included in Cash Fl0w Bef0re Taxes.
What is Net Present Value? - c0rrect answer - NPV is the difference
between the present value 0f cash infl0ws and the present value 0f cash
0utfl0ws 0ver time.
True 0f false: F0r c0mmercial and investment pr0perties, l0an c0sts paid at
time peri0d zer0 are deducted in full in the year they are paid. - c0rrect
answer - False - they are am0rtized 0ver the full term 0f the l0an. Any
unam0rtized c0sts are expenses in the year the l0an is paid 0ff.
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A REIT must distribute what percent 0f its taxable inc0me t0 st0ckh0lders
every year? - c0rrect answer - 90%
True 0r False: a REIT is subject t0 c0rp0rate-level tax 0n the taxable inc0me
it distributes t0 st0ckh0lders. - c0rrect answer - False. A REIT must pay 0ut
at least 90% 0f its taxable inc0me as dividends. Since th0se dividends are
actually the taxable p0rti0n 0f the inc0me generated by the REIT-0wned
pr0perties, the c0mpany is able t0 pass its tax burden t0 shareh0lders
rather than pay Federal taxes itself.
What is Secti0n 1231 pr0perty? - c0rrect answer - Secti0n 1231 pr0perty is
real 0r depreciable business pr0perty (such as a c0mmercial building) held
f0r m0re than 0ne year.
A secti0n 1231 gain fr0m the sale 0f a pr0perty is taxed at the l0wer capital
gains tax rate versus the rate f0r 0rdinary inc0me. If the s0ld pr0perty was
held f0r less than 0ne year, the 1231 gain d0es n0t apply.
The basis f0r a pr0perty that is purchased equals the purchase price plus
what? - c0rrect answer - Plus any capitalized acquisiti0n c0sts (n0t
financing c0sts.)
What are the f0ur basic c0mp0nents 0f N0I? - c0rrect answer - 1 - P0tential
rental inc0me (PRI)
2 - Vacancy and credit l0sses
3 - 0ther inc0me
